Measuring Intangible Revenue
Measuring Intangible Revenues by Analyzing Customers
Client Sales Volume Contribution to Financial Capital Contribution to External Structure Contribution to Internal Structure Contribution to Individual Competence
Client A

$100000

$100000

     
Client B $ 90000  

$ 90000

   
Client C $ 70000    

$ 70000

$ 70000

Client D $ 60000        
Client E $ 50000

$ 50000

     
Client F $ 30000 $ 30000 $ 30000 $ 30000  
Others $100000        
Total $500000

$180000

$120000

$100000

$70000

Share

 

36% 24% 20% 14%
Analysis:

Use the above worksheet to analyze your customers. Consider:

  • Customers that contribute only intangible revenues, but are not profitable in financial terms. They are probably worth keeping, but they might be under fire from the accounting department. Are you making the most of these customers?
  • Columns with low shares of the revenues. What can you do to increase the share?
  • Columns with high shares of the revenues. Are you making the most of these customers?
  • Columns with few customers contributing. Are we too dependent on them?

Customers can be very profitable. But in the above example, the customers with learning projects seem too few. The External Structure would need a boost with new sales in that category. Customer F is very valuable, although it is small, because it is both very profitable in financial terms and contributes to the intangible revenues. Customer A is worth keeping because of its high profitability and its size, but is the company's profit perhaps too dependent on it? And one must ask why we keep Customer D, which contributes no Intangible Revenues at all and is not even particularly profitable.

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